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Mar 31, 2021
Medallion Q1 2021 Earnings Report
Medallion Financial's first quarter results were announced, showing a significant increase in net income and strong performance in consumer lending segments.
Key Takeaways
Medallion Financial Corp. reported a net income of $8.4 million for the first quarter of 2021, a significant improvement compared to the net loss of $13.6 million in the same quarter of the previous year. The company experienced growth in its consumer lending segments and an increase in net interest income, driven by the performance of these segments. Additionally, consumer originations increased by 37% compared to the prior year quarter.
Net income was $8.4 million, or $0.34 per share, compared to a net loss of $13.6 million, or $0.56 per share, in the prior year quarter.
Net interest income increased to $28.7 million, primarily due to the contribution of the consumer lending segments.
Consumer originations grew by 37% to $142.0 million.
Total assets reached $1.7 billion as of March 31, 2021.
Medallion
Medallion
Medallion Revenue by Segment
Revenue by Segment
Consumer Lending Revenue
CapyFin.comCommercial Lending Revenue
CapyFin.com Forward Guidance
Medallion Financial is optimistic about future performance, focusing on consumer lending segments and fintech partnerships. They anticipate long-term value creation for shareholders through expense monitoring and strategic initiatives.
Positive Outlook
- Continued strong underlying performance from consumer lending segments.
- Medallion Bank's recreation lending segment achieved its highest volume to date in March.
- Low consumer charge-offs and delinquencies were recorded during the quarter.
- The company is taking steps to monitor expenses and produce long-term value for shareholders.
- A second fintech partnership will soon be active, with updates to be provided throughout the year.
Challenges Ahead
- Forward-looking statements involve risks and uncertainties.
- Actual results may differ significantly from expectations.
- The COVID-19 pandemic could have impacts that differ materially from current expectations.
- Factors beyond Medallion’s control could affect future developments.
- Medallion is subject to risks described in the 2020 Annual Report on Form 10-K.